National Healthcare Properties, Inc. (formerly Healthcare Trust, Inc.) reported significant financial changes for the three and nine months ended September 30, 2024, compared to the same periods in 2023. The company, which focuses on acquiring and managing healthcare-related real estate, experienced a net loss attributable to common stockholders of $44.1 million for Q3 2024, up from $19.6 million in Q3 2023. For the nine-month period, the net loss increased to $183.1 million from $57.8 million in the prior year.

Total revenue from tenants for Q3 2024 was $88.9 million, a slight increase from $85.7 million in Q3 2023. For the nine months ended September 30, 2024, revenue rose to $266.1 million from $259.1 million in the same period of 2023. However, total expenses surged to $111.4 million in Q3 2024, compared to $86.4 million in Q3 2023, and for the nine months, expenses increased to $389.9 million from $256.9 million. This led to an operating loss of $20.9 million for Q3 2024, compared to a loss of $0.9 million in Q3 2023.

The company’s total assets decreased to $1.998 billion as of September 30, 2024, down from $2.145 billion at the end of 2023. Total liabilities increased to $1.289 billion from $1.245 billion during the same period. Consequently, total stockholders’ equity fell to $702.6 million from $894.2 million.

Strategically, the company completed an internalization of its advisory and property management functions on September 27, 2024, incurring an internalization fee of $98.2 million. This transition is expected to eliminate previous asset management and property management fees. Additionally, a reverse stock split was executed on September 30, 2024, adjusting the par value of common stock.

During the nine months ended September 30, 2024, National Healthcare Properties acquired four properties for $12.6 million and disposed of seven OMFs, two SHOPs, and one land parcel for a total of $82.6 million. The company recorded impairment charges of $11.5 million during this period, compared to no impairment charges in the same period of 2023.

As of September 30, 2024, the company had outstanding debt obligations of $1.2 billion at a weighted average interest rate of 5.61%. The company’s liquidity position remains stable, with cash and cash equivalents totaling $32.9 million, which is above the required minimum balance of $12.5 million under its loan agreements.